WSTS Press Releases WSTS Semiconductor Market Forecast Release World Release Date: 28 May 2001 Taipei R. O. C. – Spring 2001 Forecast Session 15 - 18 May 2001 - From The WSTS Board Of Directors According to the World Semiconductor Trade Statistics (WSTS), the world semiconductor market will decrease by 13.5% in 2001 over 2000 to reach $176.8B. The industry's expectation at the previous forecast session in autumn last year in Hawaii, USA, was more optimistic when the growth rate for 2001 was expected at 20.3% with a total market posting $250B. This expectation was mostly influenced by the very strong second and third quarter of the year 2000, exceeding 10% quarter-to-quarter growth. However the fourth quarter of 2000 showed a decline of 3% over the third quarter and the first quarter of 2001 showed a decline of 19% over the fourth quarter of 2000. The forecast session in Taipei, attended by some 70 representatives of 41 leading semiconductor companies and industry associations developed a consensus about the near term and long-term development of this industry. The period of downturn will come to an end in the middle of 2001. The third quarter 2001 will resume positive growth in all major markets and products. Microcomponents together with memories will lead the up-turn and other products will follow closely. Despite of the significant recovery in the second half of 2001 the year-to year growth over 2000 will be negative 13.5%. For the following years into 2004 a compound annual growth of 15.6% is expected. Americas Europe Japan Asia Pacific Total World 1999 Total 47.5 31.9 32.8 37.2 149.4 2000 Total 64.1 42.3 46.7 51.3 204.4 2001 Total 50.4 39.8 43.4 43.3 176.8 2002 Total 57.3 45.3 48.7 50.1 201.4 Discrete Optoelectronic Sensor IC Bipolar Digital Analog Micro Logic Memory Total Products 13.1 5.8 0.3 130.2 1.0 22.1 51.7 23.2 32.3 149.4 16.9 9.8 0.7 176.9 1.1 30.5 61.5 34.6 49.2 204.4 15.3 9.7 1.0 150.8 0.6 27.7 52.7 30.9 38.9 176.8 16.8 10.8 1.2 172.7 0.5 31.4 59.3 34.7 46.8 201.4 All amounts in $B % Growth 00/99 01/00 02/01 34.9% -21.4% 13.8% 32.7% -5.9% 13.8% 42.4% -7.2% 12.3% 37.9% -15.6% 15.8% 36.8% -13.5% 13.9% 29.5% 69.7% 130.5% 35.9% 7.9% 38.2% 19.0% 49.3% 52.5% 36.8% -9.8% -1.1% 37.6% -14.7% -44.3% -9.3% -14.3% -10.6% -20.9% -13.5% 9.8% 11.1% 22.6% 14.5% -19.9% 13.3% 12.5% 12.3% 20.2% 13.9% For further information, please consult: In the Americas In Europe In Japan In Asia Pacific World Bill Jewell - Americas Vice Chairman +1 (972) 927-4511 Tjeerd Vonk - Europe Vice Chairman + 31 (40) 272-3170 Osamu Yamashiro - Japan Vice Chairman + 81 (42) 320-7301 (ex. 3557) Hwanin M. Lee - Asia Pacific Vice Chairman + 82 (2) 750-7513 Kawatsune Motoe - World Chairman + 81 (3) 3457-3917 WSTS is an independent non-profit organization representing about 90% of the world semiconductor industry (Internet address: http://www.wsts.org). These forecasts will be released twice a year, in May and October.